Higher payable copper production by the KGHM Polska Miedź S.A. Group (+1%, 174 thousand tonnes), higher silver production (+3%, 335 tonnes) and 25% higher profit by the KGHM Group in the first quarter of 2020 compared to Q1 2019
The consolidated net profit of KGHM of PLN 690 million is one of the highest in recent quarters. The KGHM Group recorded lower revenues (-3%, PLN 5 299 million) and EBITDA (-22%, PLN 1 129 million) with a higher profit for the period (+25%, PLN 690 million).
The revenues of the KGHM Group in the first quarter of 2020 amounted to PLN 5 299 million and were lower by PLN 189 million (-22%) than in the corresponding prior year period. The lower revenues recorded by all segments were mainly due to less favourable macroeconomic conditions. The sales revenues of KGHM Polska Miedź S.A. amounted to PLN 4 225 million and were lower by PLN 91 million (-2%) than in the corresponding prior year period. The decrease in the revenues of the parent Entity were due to lower copper prices alongside a more favourable USD/PLN exchange rate and a higher volume of silver and gold sales. The fall in the copper price by more than 9%, was slightly offset by a higher silver price (+8.5%). The average copper price in the first quarter amounted to 5 637 USD/tonne, silver 16.91 USD/koz t. The strengthening of the USD versus the PLN was not as strong as in the prior year.
Adjusted EBITDA for the KGHM Group was lower in the following segments: KGHM Polska Miedź S.A. (-PLN 99 million, -10%), KGHM International (-PLN 118 million, -69%) and Sierra Gorda (-PLN 114 million, -52%).
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